Bitcoin prices are still red and prices are trading sideways all week, leading to weakening of investors’ sentiment and lowering demand.
summary
- Bitcoin prices have cited around $113,000 in the past week as the market is struggling to find momentum.
- Cryptocurrency lost about 8% in a week, and is now 8.4% below its all-time high of $124,128.
- According to cryptographic analysis, the Bitcoin struggle is driven by a decline in demand and increased profit acquisition.
Bitcoin (BTC) prices are trading at $113,770 as of press time and are struggling to make a critical move, so they are continuing their week-long hover at this price level. Assets have risen 0.02% over the past 24 hours, but performance over the past few days has been flat, with around 8% losses per week.
The extended slump has led to 8.4% of BTC falling 8.4% below the $124,128 record high that reached earlier this month, undermining emotions and questioning the short-term direction.
Bitcoin Price Chart | Source: crypto.news
According to Coinglass data, open interest in Bitcoin has fallen by 0.36% to $37.9 billion over the past 24 hours, with most of the decline coming from the permanent future. At the same time, 24-hour trading volume fell 7.32% to $664.1 billion, reflecting the activity of the cooling market.
Along with a drop in open interest, the volume suggests that traders are trimming positions, indicating that there is a market with a careful pause.
As profits continue, demand for Bitcoin will slow down
The weakness in Bitcoin’s price lies in a wider trend in declining demand and continuing profit acquisition. According to an August 20 crypto analysis, the amount of Bitcoin accumulated by the market has dropped sharply in recent months, down by two-thirds from 174,000 BTC in July to 59,000 BTC now.
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Institution purchases are also slowing down. The Bitcoin Exchange Trade Fund’s net purchases over the past month are 11,000 BTC, the lowest since April. Similarly, the accumulation of companies by key holders has slowed, and purchases by entities such as strategies have declined from 171,000 BTC in November 2024 to 27,000 BTC in the last 30 days.
Demand for Bitcoin is declining.
Apparent demand has dropped from 174k BTC in July to just 59K today.
ETF purchases also hit a four-month low, with MSTRs being slowed down sharply.
The weak growth in demand refers to future consolidation. pic.twitter.com/61fw6hewef
– cryptoquant.com (@cryptoquant_com) August 20, 2025
Meanwhile, profits are increasing among short-term and long-term investors. BTC holders have recognized net profits of around $74 billion since July 4th, with new whale investors winning an additional $2 billion. Such large-scale profit acquisitions add downward pressure to prices and increase short-term volatility.
Cryptoquant’s bull score indicates that the market will move from “Extra Bullish” to the “bulging cooldown” phase, indicating that the overall market setting remains positive, while the strong momentum is fading.
However, for now, the strong downside risks seem to be limited. The analysis added that BTC could find support around $110,000, as BTC is usually unlikely to sell significantly in this price range.
Still, the market is cautious. If demand fails to return and profit acquisition continues, Bitcoin may struggle to regain momentum, and the current bear signal must be positively reversed before strong upward movements resume.
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